The dollar is still carrying it’s weight especially with the USD/JPY creeping it’s way up. The dollar bull’s attempts are still pretty weak but it’s showing some signs of growing strength. There’s some heavy BoE news for early tomorrow that’ll definitely have an affect in GBP/USD. Lets hope the markets keep it juicy.
It’s been a hopeful opening week for the dollar and looks like a possible turning point. Especially in EUR/USD, price is at a major selling zone and there’s a lot of downward pressure. IF this week continues well for the dollar, there are TONS of pips to be gained.
It was a slow Monday due to a long 4th of July holiday in the states. Many people in the business world are in vacation mode. Volatility this week might be slower than others but the dollar bull still looks promising. The ISM manufacturing PMI number came out significant of 57.8 vs 55.0 which drove the dollar higher. With healthy data, the US dollar pullback looks great.
Today was the end of the month and Q2 which sometimes creates an interesting market. Many times during an end of a seasonal quarter, profit taking, position changing and other sorts of money allocation can take place. Throw in an upcoming holiday, the market had an awesome time stopping the dollar bear from going further. USD/JPY is continuing its move as EUR/USD and GBP/USD looks unstable. I’m not excited for a long holiday, however, I think the dollar bulls will continue next week despite of a low volatility.
The dollar seems to be showing strength and has not had a major down day this week. The continuous days of rising shows that the mini rally can turn into a possible reversal. It’s going to be very important to see where this dollar pulls back to but judging by the recent price action, it’ll be fairly deep.
I took a 2 week break from blogging and trading after a big loss 2 weeks ago. During my break I was still trading but decided not to post because the markets were so slow and boring. During the FOMC statements and French elections, markets were too boring to constantly trade, in fact, I lost money by forcing trades. I’m back now and ready more than ever. Hopefully the markets can wake up and some good trade formations can form.
Yesterday was a really great day for me as I shorted the dollar. I woke up to a London session that pretty much gave back all the dollar’s Trump induced sell-off and traded NY without much thought. I tried chasing the dollar shorts again but failed to do so with low holiday liquidity.
NY was a bad session for me today because I was being too reckless with my trades. Today was a great example for me to not get too caught up on my winnings and not maintaining focus. The Easter holiday liquidity made the markets difficult to trade and as I loss more and more, I traded more desperately. As of now, I’m still waiting for the dollar to sell off again, which is failing to do so. I lost a bit on shorting USD/CAD and trying to force a long EUR/USD trades. Right now I’m holding a small EUR/USD trade that I hope will end in profit. I still believe the dollar has some falling to do. All in all, a failure of a day.
The price action today was pretty messy and jumpy. There definitely was volatility for the NFP tomorrow, which I will be away for. Today wasn’t a good trading day for me and got tricked out thinking the dollar was selling off hard. It was one of those quick in’s and out days. I’ll be taking off tomorrow, going on a mini vacation. As long as the employment number isn’t too far off, I think the dollar bulls will continue to power through.
I had a great scaled set up with EUR/USD shorts but due to the larger than usual size that I normally trade, I got scared and backed off. Revenge trading is tough because the pressure to make back losses is much higher. I’m trying to trade larger than regular sizes to compensate for the losses, however, it gets more frightening to hold onto trades because I don’t want to make my losses bigger than it is. Revenge trading is not necessarily bad as long as you keep yourself grounded.
The circle is the area that I pulled my shorts since I was building up throughout that wedge. It was only after the big drop that I saw the resistance. Today was just a bad trading day.
The BIG juicy dollar movement happened during the open on Monday which I didn’t trade since it was President’s Day. The dollar bulls started their moves on Friday and it continued off into the weekend. For the start of NY, I was tricked into trading during a dollar retrace which got me some losses. All in all, I still think the dollar is headed higher due to the anticipated rate hike, and it failed to sustain the EUR/USD break out.